DP World Limited has entered into agreements to acquire Maritime World, the 100% owner of Dubai Maritime City (DMC), for $180m, and to buy 100% of Drydocks World, by means of a capital injection of $225m.
DMC is a maritime service facility and industrial business zone in a prime location of central Dubai and adjacent to DP World’s Mina Rashid. It is a maritime focused commercial and industrial park, which extends to 2.3m sq m. It will DP World’s subsidiary, Economic Zones World FZE, additional land as an alternative to the highly-occupied Jebel Ali Free Zone.
Drydocks World is a market leader in the ship repair business with the largest ship repair yard in the Middle East. The business delivers ship and rig repairs and has specialist capabilities in niche ship newbuilds and conversions. DP World asserts that Drydocks’ acquisition will integrate well into P&O Maritime (POM), which is DP World’s 100% owned maritime services subsidiary.
Both acquisitions are subject to certain conditions precedent and the acquisition of Drydocks World is subject to the successful completion of its debt restructuring process. Both transactions are expected to close before the end of the first quarter of 2018.
Sultan Ahmed Bin Sulayem, Group Chairman and CEO, DP World, commented: “We are delighted to make these acquisitions which further strengthen the Group’s maritime services and port related businesses. As a global trade enabler, we have been targeting a broader strategy to grow complementary sectors in the global supply chain such as industrial parks, free zones and logistics adding further value for all our stakeholders.
Source: DP World
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